I passed final inspection on my own owner-built (i.e. I was the general contractor) about 3 years ago in the 92130 zip code so I think I can help with this one.
This is a seemingly simple question that is very difficult to answer because the “square foot” means different things to different people and costs which don’t vary by square feet are significant.
Also, It is important to know if the lot is a “developed” lot or not. A good indicator of a developed lot is the presence of a water meter.
Real estate agents think “square feet” means livable space, not counting the garage.
A contractor thinks of it as everything, including the garage because a contractor has to build the garage. So, to a realtor, the cost per square foot of a 3000 sq. ft house with 4 car garage is higher than that of a 3000 sq. ft. house with a 2-car garage.
Thinking about building a house in terms of the cost of the structure itself is very dangerous and will put you in a bad spot if you buy a lot only to find out you have to spend $300,000 that you didn’t expect because you
multiplied $250 by the square footage, decide you could afford that, then clicked the “buy now” button.
Be sure to include the cost per sq. ft PLUS all the money that needs to be spent on things that are not the house, such as:
– Design/Architecture/Engineering
– Permitting costs – fees, historical stuch
– Government and utility fees like school fees and utility start-up fees.
– “Development” fees to the government just because they can. (this is the source of mello-roos, by the way). If our lot had not been developed, these fees would have been $66,000.
– Hard “development” costs to bring utilities to the property so you can have the privilege of paying the development fees.
– Bullshit studies to passify the city if you are in environmentally sensitive zone.
– More Bullshit studies and mediation costs if you are in a coastal zone.
– Infrastructure costs of getting utilities from the street to the house.
– Landscaping
– Pool
Another thing to keep in mind – a 2-story house is less per sq. ft. that a 1-story house.
I’d say $250 per livable square foot for the structure including a 2-car garage with reasonable fixtures and finishes – like the nicer things at Home Depot/Lowes but not stupid designer things from Pirch.
For a developed lot, add $300,000 for design, engineering, infrastructure (utilities to the house, grading), permitting, landscaping
For an undeveloped lot, add another $100K.
For a lot in the coastal commission, I’m not sure how much to add but I’d guess $50,000 to $100,000, and a year or two to the permitting process.
